starbucks4ever (98.42)

The market is behaving better this week

5

I am content to see this pullback, which proves that just as I said last week, there was no particular rush to buy stocks at 1230 just because of this QE2 monster. After all, Bernanke did not just give $600 Bln to companies as a free gift, so a money-losing bankruptcy candidate still remains a money-losing bankruptcy candidate...

I don't typically buy tech stocks (though I do own GOOG), so I missed out. I've just been realizing with an HDTV/internet/NFLX what the future of tv is going to be like. Cable is dead, broadcast will die..

No, he printed *himself* $600B and used it to purchase gov't securities from banks that had already purchased them from the gov't. This gives them cash with which to speculate, and they're choosing to do it in the stock market and commodities markets, as you'd expect rational people to do.

It's not evil that they're speculating, but evil that our purchasing power was diluted in order to enable it.

Sure, but the companies whose stocks the banks speculate with did not become more profitable. Take XOM, for instance: it was a Ch 11 story, and will remain so even after QE3. And the Russel 3000 index is full of such zombies.